Devoted Health closes $1.15B series D funding round

Tech-enabled Medicare Advantage startup Devoted Health closed a $1.15 billion funding round led by Uprising and Softbank Vision Fund 2.

Other series D backers include returning investors GIC, Andreessen Horowitz, Premji Invest, Maverick, Frist Cressey Ventures, and NextView Ventures. New investors include ICONIQ Growth, General Catalyst, the Base10 Advancement Initiative and Emerson Collective.

Devoted Health said in an announcement that it will close on an additional $80 million in funding for this round to accommodate an investor.

The company, which was founded in 2017, combines Medicare Advantage coverage with its virtual and in-home care provider, Devoted Medical, as well as partnerships with leading with providers.

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“Devoted Health is unique in that our members are at the absolute center of everything we do, and our core product is really better health. We are literally saving, improving and extending lives for older Americans every day through our one-of-a-kind approach,” said Ed Park, co-founder and CEO of Devoted Health, in a statement.

“We are very proud that others understand and believe in the value of our mission and model, and we are very much looking forward to using this capital to bring the Devoted Health experience to people across the country," Park said.

Devoted Health boasted nearly 40,000 members as of June 2021, up from 18,000 a year prior. It generated $247.3 million in revenue for the first half of this year, up 128% from the first six months of 2020.

For the 2022 plan year, Devoted said it plans to expand to new markets in existing states and to enter the Chicago market for the first time.

“It is an honor to be in service to the Devoted Health team and their ethos of love that is at the core of the incredible impact that they have on so many,” said Tabreez Verjee, co-founding partner at Uprising, in a statement. “We believe that Devoted Health will become a nationwide beacon of a new paradigm for what caring in health care can be.”